ADMISI London Wheat Report for 26 April

London Wheat Report

Source: FutureSource 

Turnaround Tuesday is back. Ag markets found continued support with US markets firing up overnight after the measly crop conditions for winter wheat and a lagging spring planting pace in corn and beans. Energies are also firmer once again this morning, with the dollar trading to new highs. Brent crude was trading up 2.35% last trading at $104.69/ba at time of writing. Weather in the US continuing to point towards rain, offering the market a firm undertone.

StatsCan released all wheat planted acres that were placed at 25.031M acres, which is 1.67M acres higher than last year and came in above trade estimates. is 1.67mln higher than last year, and came above the range of trade estimates. Other springs were 1.2mln higher than last year, with a significant jump in durum. Not very bullish, as much as the spring is looking slightly questionable for the Canadian prairies, prospective planted acres could change quite a bit.

Conditions remain mostly favourable for northern Europe according the MARS. Turkey has tendered for 480kt of milling wheat for May-August. Russian export pace continue with the largest buyers scooping up 505kt last week. Russian army continues to target rail infrastructure to try and stem the flow of Western arms to the Donbass which in turn will start to effect the ability of Ukrainian exports by rail. First bulk Indian cargo of wheat is expected to hit Egyptian shores end of April equating to approx 55kt of Indian wheat. India has so far secured close to 950kt of wheat exports in April. Matif May-22 settled up €7.00 on yesterday at €415.25/t. London wheat tenders were released earlier today.

Market chatter regarding Indonesian palm oil export ban. Currently it does only effect RBD but the government has murmured that if prices continue to climb domestically, they will enforce further curbs. This added some fuel to the bulls, pushing the oilseeds complex further. Canadian canola May-22 was trading up 15 cents at time of writing and Matif Aug-22 rapeseed settled up €20.50 on yesterday at €880.50/t. 

Contact the ADMISI Grains and Oilseeds Derivatives Brokerage team

Hanne Bell, Ryan Easterbrook, Dominic Enston and Aaron Stockley-Isted

Phone: +44 (0)20 7716 8477  or  +44 (0)20 7716 8140      Email: intl.grains@admisi.com

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Risk Warning: Investments in Equities, Contracts for Difference (CFDs) in any instrument, Futures, Options, Derivatives and Foreign Exchange can fluctuate in value. Investors should therefore be aware that they may not realise the initial amount invested and may incur additional liabilities. These investments may be subject to above average financial risk of loss. Investors should consider their financial circumstances, investment experience and if it is appropriate to invest. If necessary, seek independent financial advice.

ADM Investor Services International Limited, registered in England No. 2547805, is authorised and regulated by the Financial Conduct Authority [FRN 148474] and is a member of the London Stock Exchange. Registered office: 3rd Floor, The Minster Building, 21 Mincing Lane, London EC3R 7AG.                  

A subsidiary of Archer Daniels Midland Company.

© 2021 ADM Investor Services International Limited.

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